Federal Reserve Board member Milan reiterates the need to cut interest rates to address employment market risks

[Fed Governor Milan Reiterates the Need to Cut Interest Rates to Address Labor Market Risks] Federal Reserve Governor Stephen Milan reiterated on Friday that the Fed should cut interest rates due to cooling inflation and the need for monetary policy to offset labor market risks. Milan stated that the labor market is slowing down, “If this trend continues and we fail to adjust policies sufficiently to curb it, we will be in trouble by 2027.” Milan is one of the most staunch advocates within the Fed for rate cuts. At last week’s Fed meeting, he voted against the majority, advocating for a 50 basis point cut, while most colleagues favored a smaller 25 basis point reduction. His term at the Federal Reserve will end on January 31.